Maharashtra: Art gallery owner proposes to auction 25 M F Husain paintings

In an order passed May 2, Justice Patel said, “Pundole’s proposal involves cataloguing these paintings, putting together a proper art catalogue and drawing sufficient interest in the auction with various publicity strategies to attract the highest offers over reasonable reserve bids.The question of authentication is also possibly best addressed by Pundole given the past history in the matter that has now come to light. I personally have no manner of doubt that a properly conducted auction will fetch much better prices than an auction done through the Deputy Sheriff.”

The court had decided to move the paintings while hearing an arbitral award petition filed by National Agricultural Co-Op Marketing Federation of India (NAFED) against Swarup Group of Industries after the latter failed to pay up Rs 104 crore that NAFED had loaned to Swarup.

NAFED obtained an interim award which allowed the securing of immovable and moveable assets of Swarup via the Deputy Sheriff. While NAFED got an assurance of recovering Rs 73 crore by the transfer of a large area inside a suburban mall, the remaining amount was to be recovered after securing 25 valuable artworks of M F Husain purchased by the Swarup group at a price of Rs 1 crore each.

However, it was brought to the court’s notice that the artworks are currently stored in a cupboard of IndusInd Bank Limited, Lokhandwala branch and may suffer damage or value degradation if they remain there. Justice G S Patel directed that these paintings be moved from the bank locker to Fine Art Warehouse in Wadala where they can be stored and maintained, before directions can be issued about their auction.

After examining the 25 paintings, Pundole wrote the Deputy Sheriff with estimates of each painting and a suggested reserve price. He also informed the court that there is no need to remove the paintings from the bank and that they are presently stored in PVC pipes, which need to be unfolded and flattened by restorers and experts before the auction. Pundole said the gallery would make the arrangements for this.